North Pac ZLC AUGUST 18TH, 2016

Non-contract charges are too expensive “Who pays for what” matrix is difficult to understand. Many FZ’s are reluctant to call in a case in fear of getting charged. Dispute resolution is difficult to manage on all parties side. Franchisee’s, 7- Eleven Facilities and Vixxo spend a tremendous amount of effort managing disputes. Disputes typically drag through multiple months and FZ’s are put in a position of “guilty until proven innocent.” We have deferred maintenance in stores because FZ’s don’t trust the system. Non-approved contractors should not be in our stores. High prices for work has forced FZ’s to alternative methods. Why a Fixed Fee Pilot?

Major Services Now Covered Plumbing Electrical Refrigeration Safes Power Issues Revenue Generating Equipment Doors/Announcer Internal Fire Extinguishers Improper Classification 88% of the non-contract charges in 2015 are now covered under the fixed fee pilot (based on data through the system and does not include nuisance charges, abuse, landscaping, end user parts, pest control, snow plowing, improper cleaning or upgrade requests)

Representative of only the four affected Trades: Foodservice/Beverage, Refrigeration, Plumbing, and Electrical Volume Trending

Top 10/Bottom 10 Volume Stores

Top 10 Covered PUCs Dispatched

Top 25 Stores – Corp Line, thru July Avg. FZ impact across all Pilot stores is a net gain to their P&L of $ FZ stores have yet to receive an invoice on the Corp line. Since there is an invoice this should decrease Data is representative of Class Combos that would normally be an FZ expense

Full Volume Trending Representative of all calls across all Trades dispatched to FZ locations

Electrical Trending

Plumbing Trending

Refrigeration Trending

Foodservice/Beverage Trending

Begin Vixxo system enhancements to streamline invoices (weekly cadence calls) Create ability to quickly turn on or off stores participation. Adding quick filters to differentiate stores for easier processing Work preliminary plans to maintain the pilot in Market 1554 (re-negotiated monthly charge). Potentially go to phase 2 which includes End User Parts coverage Initiate schedule to round out the Florida Zone Start National rollout after SEE announcement Phased onboarding of Zones in 2017, all Zones onboard by mid-2017 Engage our legal team to verify steps to get new Maintenance Contracts established Next Steps/Action Taken

Our Service Providers don’t provide quality work Service Providers don’t spend enough time at the store FZ’s haven’t seen anyone doing PM’s FZ’s don’t know when they are coming What work is supposed to be completed? How long should it take? There is no accountability on either side 14 Why a Preventative Maintenance Pilot?

Alert Message 30 days Out

Alert Message 30 days out

Work Ticket Upon Completion

PM VERIFICATION PHOTOS’S

Key Metrics – Weekly Trend 20

Key Metrics – Weekly Trend 21

Average Duration vs. Expected-In Minutes 22

Service Provider Performance 23

Expected Duration 24

Continue to enhance features/program Types of pictures SP take SP’s creating instant cases (prior to leaving the site) based on additional work found SP’s accountability: below a certain score for X weeks triggers PIP which could lead to termination How do we verify execution on a larger scale Plan for ALL Texas markets to be up and running by EOY. Next Phase roll out would be Florida based on current SP’s participation Start National rollout January 2017 – Develop communication plan All Zones onboard by mid-2017 Monitor status of all SP’s across the network to be signed up on the digital platform by EOY. 25 Next Steps/Action Taken

Next Steps for Establishing Maintenance Escalation Desk: o Working with Keith Jones’ Team & incorporating into new 7-Eleven Stores app o One number for Franchisees to call o Working to incorporate into 7-Help number o 24x7, 7 days a week – Live Operators o Immediate escalation to SEI Maintenance Leadership Timing: 9/1/16 o Weekly cadence call to finalize o New script to streamline the escalation to make it automated o New template to track progress across multiple touch points o Reporting to verify progress and accountability Escalation Process Status Direct Link to 7-Eleven Maintenance Team

Q&A